My Daily Thoughts

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Investment Goals

Our intuition about the future is linear. But the reality of information technology is exponential, and that makes a profound difference. If I take 30 steps linearly, I get to 30. If I take 30 steps exponentially, I get to a billion.
Ray Kurzweil

Your investment goals are the goals that require the longest time frame.

Long time frames allow you to see the benefits of exponential growth.

If you invest $100 per month with a return of 10% then after 1 year you will have $1256.57. That is $56 and 57 cents in interest you made.

If you invest $100 per month with a return of 10% then after 10 years you will have $20,484.50. That is $8,484.50 in interest you made.

If you invest $100 per month with a return of 10% then after 25 years you will have $132,683.34. That is $102,683.34 in interest you made.

To get these benefits you need to have a goal with a long time frame.

Live the Adventure

Geoff

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